Activity$-$Based Budgeting

St$.$ Sophia's Hospital is preparing its budget for the coming year. It uses an activity$-$based approach for all costs except physician care. Its emergency room has three activity areas with cost drivers as follows:

Reception$-$paperwork of incoming patients. Cost driver is the number of forms completed.

Treatment$-$initial diagnosis and treatment of patients. Cost driver is the number of diagnoses treated.

Cleaning$-$general cleaning plus preparing treatment facilities for next patient. Cost driver is the number of people visiting emergency room $($patients plus person$($s$)$ accompanying them$).$

a$.$ Prepare the total budgeted cost for each activity.